Accelerating Under the Radar of the International Community: 1989 to 2003

Freed from the burden of the costly war with Iraq, Iranian leaders began refocusing on nuclear technology acquisition in the late 1980s and early 1990s. Iran signed long-term nuclear cooperation agreements with Pakistan and China, in 1987 and 1990 respectively. Accords with both countries involved the training of Iranian personnel, and China also agreed to provide Iran with a 27KW miniature neutron source reactor (MNSR) and two 300MW Qinshan power reactors. In January 1995, Russia announced that it would complete Bushehr's construction and agreed to build three additional reactors.

U.S. intelligence agencies have long suspected Iran of using its civilian nuclear program as a cover for clandestine weapons development, and the U.S. government has actively pressured potential suppliers to limit nuclear cooperation with Iran. As a result, China did not ultimately supply Iran with the research reactor (which would have been suitable for plutonium production), the two Qinshan power reactors, or the uranium conversion plant it had previously offered Iran. The United States also blocked Iran's agreement with Argentina for uranium enrichment and heavy water production facilities.

Russia and Iran signed a bilateral nuclear cooperation agreement in August 1992. In a follow-up agreement in 1995, Russia agreed to complete construction of the Bushehr-1 nuclear power plant and also secretly offered to supply Iran with a large research reactor, a fuel fabrication facility, and a gas centrifuge plant. Hearing of these covert negotiations, U.S. President Bill Clinton expressed concerns about the technology transfers to Russian President Boris Yeltsin, who eventually agreed to scale back Russian-Iranian nuclear cooperation at least until Bushehr's construction had been completed. Despite this top-level ban on nuclear cooperation with Iran, American officials believe that individual Russian scientists and institutes assisted Iranian engineers in sensitive areas of the nuclear fuel cycle, and with the construction of a 40MW heavy water research reactor at Arak.

On 14 August 2002, the National Council of Resistance of Iran (NCRI) revealed the existence of undeclared nuclear facilities in Iran, including Natanz, the address of the Kalaye electric company, a heavy water production plant under construction at Arak, and the names of various individuals and front companies involved with the nuclear program. Between September and October 2003, the Agency carried out a number of facilities inspections and met with Iranian officials to determine the history of Iran's nuclear program. In November, the IAEA Board of Governors adopted a resolution welcoming Iran's decision to sign the Additional Protocol and suspend enrichment. However, the Board noted with concern Iran's previous concealment efforts and pointed out that Iran's new declarations contradicted the Agency's previous information about its nuclear program. Furthermore, the Board outlined the procedures for sanctions if Iran failed to meet the requirements of the Resolution. The Board requested that the Director General take all of the necessary steps to confirm Iran's past and present nuclear activities.

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